Taxing Times
The Financial Times reported recently that over 200,000 companies were currently in “Time to Pay” arrangements resulting in billions of unpaid tax, a position which is unsustainable. Recent reports have suggested that HMRC are now taking a harder line both in agreeing new terms and any default on existing arrangements. Our belief is that this is the calm before the storm and that the level of insolvency activity is likely to rise significantly.
In that event, the demand for pre pack administrations will increase as will the need for expertise in funding any new business which may be created moving forward; you cannot have one without the other. We already get a substantial amount of our business from contacts within the insolvency profession where we are a trusted partner focusing on working with the directors of the new business which allows the IP to deal with the formal process.